Town Square

Sequoia Healthcare District continues to collect property tax

Original post made
by Jack Hickey, Woodside: Emerald Hills,
on Mar 4, 2013

___In the 1996 Measure "H" election Web Link in which the Sequoia Hospital District obtained voter approval for the sale of Sequoia Hospital, election materials failed to disclose the fact that property taxes, originally assessed pursuant to the 1946 election Web Link which established the District, would continue to be collected.
___The voter intent of that 1946 election was to create a Hospital District, with authority to assess taxes, which would oversee the construction, operation and maintenance of Sequoia Hospital. It was expected that the hospital would become self supporting, and that continued tax assessments would become unecessary. History shows that after 67 years, taxation continues. It will also show that Sequoia Hospital, under the stewardship of CEO Art Faro, was operating in the red to the tune of $29 Million at the time of the 1996 sale. Web Link
___The District, which has morphed into the Sequoia Healthcare District, is now engaged in philanthropic activities never intended by voters in 1946. Two San Mateo County Civil Grand Juries (2001-2002) have exposed this situation.
___The Sequoia Healthcare District's continued collection of property taxes appears to be based upon a "Tax Revenues" agreement buried in the Memorandum of Understanding (MOU) Web Link referenced in the election documents, which states:

___"District shall on an ongoing basis retain one hundred percent (100%) of its Tax Revenues, and shall utilize those funds, net of District's operating expenses, in furtherance of its purposes as a California hospital district (District Purposes"), through:
a. Programs and other activities provided or operated by Corporation and approved by District;
b. Programs and other activities provided or operated by other parties and approved by District; or,
c. Programs and other activities provided or operated by District;
provided, however, that no such programs or other activities funded by District's Tax Revenues shall be programs or other activities that duplicate the programs, activities or services of the Hospital."
It should be obvious that the decision for such retention of Tax Revenues by the District should be made by voters, and should have been made clear in the primary election material.

In the following year, a revisionist History of Sequoia Healthcare District was created with guidance from former Sequoia Hospital CEO Art Faro. Web Link